§ Sir A. Bossom
asked the President of the Board of Trade what consultations he had with the National Farmers' Union before deciding to terminate the Home Flax Scheme after the harvesting of the 1955 crop.
§ Mr. P. Thorneycroft
The decision to close the Home Flax Scheme announced on 31st August was taken because of the loss, now exceeding £500,000 a year. Flax fibre costing over £500 a ton to produce has to be sold at a world price a little over £200. In view of the magnitude of the loss and the limited advantages now accruing from the production of flax fibre in this country, there was no preliminary consultation with the National Farmers' Union, but the reasons for the decision were subsequently explained to them.